Global automotive remanufacturing to hit $104.8 billion by 2015, research states
The automobile sector has a long-standing relationship with the remanufacturing industry, as vehicle parts and components are subject to significant wear and tear, thereby necessitating repairs or replacements during their operating life. One research company is taking a closer look at this segement in a new report recently released.
The report, Automotive Remanufacturing: A Global Strategic Business Report, announced by Global Industry Analysts, Inc., provides a comprehensive review of market trends, conceptual overview, product overview, product launches and recent industry activity. The study analyzes market data and analytics in terms of annual revenues for markets including the United States, Europe and the rest of the world.
The evolution of the remanufacturing industry, which was before driven by the pressures exerted by environmental regulations legislated by environmental agencies and governments, today stands poised for upscale proliferation guided by the economic rationality of remanufacturing, according to the research group.
OEMs are fast learning to adroitly maximize their profits by offering a judicious mix of both new and remanufactured versions of their product brands. Gradual dissipation of misconceptions surrounding captive remanufacturing activities is leading to increasing number of original equipment manufacturers commencing remanufacturing operations for their own products, the company reports. Unfounded fears over remanufacturing eating into production volumes of newly manufactured products, thus negatively impacting economies of scale in existing capital-intensive manufacturing lines, are gradually beginning to ease.
Additionally, given the strong brand equity, and reputation for quality in primary product brands, OEMs have an inherent competitive edge over independent remanufacturers in providing guaranteed level of quality and scalability for their own remanufactured products. Remanufacturing additionally gives OEMs an opportunity to tap into the perennial market for low-cost alternatives. This is especially important in the current scenario where recession-induced sensitivity to prices is helping inflate the market for cheaper substitutes, with the greatest beneficiary of this trend being remanufactured products, Global Industry Analysts states.
The United States dominates the global automotive remanufacturing market as stated by the new market research report on automotive remanufacturing. The U.S. market is especially driven by growing number of automotives in prime replacement/repair age. The growing popularity of expensive and sophisticated products such as rack and pinion steering gears and electric power steering, together with the rising demand for automatic transmissions and diesel engines, is expected to boost the automotive remanufacturing market to a great extent, the research group reports. Re-manufactured alternators and starters, which come with competitive warranties and low price points, are expected to become popular aftermarket products in future.
Participants in the remanufacturing industry can be classified under three categories - Independent Remanufacturing firms, Independent OEM Remanufacturing firms and Integrated Remanufacturing firms. Key players profiled in the report include Andre Niermann, ATC Technology Corporation, BORG Automotive A/S, CARDONE Industries, Inc., Caterpillar, Inc., Fenwick Automotive Products Limited, Genuine Parts Company, Jasper Engines and Transmissions, Marshall Engines, Maval Manufacturing, Inc, Mevotech, Inc., Motorcar Parts of America, Inc., PROFormance Technologies, LLC, Remy International, Inc., Robert Bosch GmbH, Teamec BVBA, and TRW KFZ Ausrüstung GmbH, according to Global Industry Analysts.
For more details about the report, visit http://www.strategyr.com/Automotive_Remanufacturing_Market_Report.asp.
